IBM has announced it is acquiring European cloud startup Nordcloud to help turbocharge its own cloud ambitions.
IBM made headlines in October when it announced it would be splitting into two companies. The spinoff would take over the 109 year-old company’s legacy business, while the core IBM would focus on the hybrid cloud business.
Not surprisingly, IBM is buying cloud startups that will help it achieve that goal, first Instana, and now Nordcloud. In its 10-year history, Nordcloud has established itself as a leader in the European cloud industry, helping companies get the most from their cloud deployments.
“Our clients are increasingly taking a more holistic approach to application modernization that allows them to operate across a traditional IT environment, private cloud and public clouds,” said John Granger, Senior Vice President, Cloud Application Innovation and Chief Operating Officer, IBM Global Business Services. “IBM’s acquisition of Nordcloud adds the kind of deep expertise that will drive our clients’ digital transformations as well as support the further adoption of IBM’s hybrid cloud platform. Nordcloud’s cloud-native tools, methodologies and talent send a strong signal that IBM is committed to deliver our clients’ successful journey to cloud.”
“IBM’s hybrid cloud approach is very complementary with our cloud-native approach to helping clients migrate, manage and modernize in the cloud,” said Fernando Herrera, Chairman and Founder, Nordcloud. “As an experienced partner in today’s cloud ecosystems, we work with all of the public cloud providers for the good of our clients throughout Europe. I am very excited to embrace IBM’s open innovation mindset and help grow its global footprint.”
IBM did not disclose the financial terms, but the deal is expected to close in the first quarter of 2021.